JKS Rallies 8.6% on Senate Solar Tax Credit Extension

The Catalyst

Solar stocks went absolutely ballistic today, and JKS led the charge with an 8.6% moonshot to $23.44. The trigger? The U.S. Senate just handed the solar industry a massive win with the “One Big Beautiful Bill” that extends federal tax credits and drops punitive excise taxes. Volume exploded to 2.4M shares—that’s 171% above average. When Washington opens the money spigot, solar stocks dance.

Why This Matters

This isn’t just another government handout story. The Senate bill fundamentally changes the economics for solar developers. Here’s what got traders pumped: projects now have until 2026 to BEGIN construction (not complete it) to qualify for Inflation Reduction Act credits. That’s a game-changer for JinkoSolar’s U.S. customers who were racing against impossible deadlines.

Even better? The Senate killed a proposed excise tax that would’ve hammered projects not meeting strict domestic content rules. Bipartisan pressure from senators like Joni Ernst and Chuck Grassley saved the day. For JKS—one of the world’s largest solar panel manufacturers—this means their U.S. customers can keep buying without worrying about penalty taxes eating into project economics.

Technical Setup

JKS had been coiling in a tight range between $20-22 for weeks, building energy like a compressed spring. The 50-day moving average at $21.20 provided solid support through multiple tests. Today’s blast through $22 resistance came with conviction—no hesitation, just straight vertical.

Key observations from the daily chart:

• Clean breakout above the $22 resistance that capped gains since mid-June
• Volume surge confirms institutional buying—someone’s positioning big
• RSI spiked to 68, entering overbought territory but with room to run
• Next resistance sits at $25.50 (March highs), then $28 (yearly pivot)

Is JKS Stock a Buy After Solar Bill Passage?

With policy tailwinds at its back and technical momentum confirming, JKS looks primed for continuation. The smart play is waiting for a pullback to the $22-22.50 breakout zone—if it holds as support, that’s your green light.

Today’s Price Action

What a session! The pre-market hinted at strength with JKS up 2% on initial bill reports. But once the Senate confirmation hit, all hell broke loose.

Intraday Highlights

• 9:30 AM: Opens at $22.00, immediately testing yesterday’s high
• 10:00 AM: First surge to $22.80 as solar sector momentum builds
• 11:00 AM: Brief pause at $23—profit-takers get steamrolled
• 2:00 PM: Fresh highs above $24 as afternoon buyers pile in
• 3:30 PM: Consolidation in the $23.50 area, building for final push
• 4:00 PM: Closes near highs at $23.44—bulls in total control

Volume Analysis

That 2.4M share print tells you everything—institutions were all over this. The heaviest volume hit between 10-11 AM as the bill details circulated through trading desks. What’s impressive? Volume stayed elevated all day. No afternoon fade, no profit-taking collapse. When volume backs up price like this, momentum usually continues.

Solar Bill Impact

The Senate’s “One Big Beautiful Bill” delivers multiple wins for solar:

• Extended Construction Timeline: Projects get until 2026 to start construction
• Tax Credit Clarity: Qualification based on construction start, not completion
• No Excise Tax: Punitive penalties for non-domestic content dropped
• Bipartisan Support: Both parties backing solar incentives

For JinkoSolar specifically, this removes major uncertainty around U.S. market demand. Their panels qualify for projects seeking federal incentives, and customers now have breathing room to plan installations without rushing.

Trading Strategy

For traders looking to ride this solar momentum:

Entry Points

• Aggressive: Buy any dip to $22.75-23.00 (above breakout level)
• Conservative: Wait for pullback to $22.00-22.50 (breakout retest)

Risk Management

• Stop Loss: $21.50 (below today’s low and psychological support)
• Position Size: Solar stocks are volatile—size accordingly

Profit Targets

• First Target: $25.50 (March resistance level)
• Second Target: $28.00 (Yearly pivot and round number)
• Final Target: $32.00 (2024 highs if momentum continues)

What Price Target for JKS Stock?

Near-term, $25.50 is the obvious level—that’s where sellers emerged in March. Break that and $28 comes fast. With solar sentiment this strong and policy support locked in, $32 isn’t crazy if the sector stays hot.

When to Take Profits on JKS?

Scale out strategy works best with volatile solar names:

• Book 1/3 at $25.50 to secure quick gains
• Another 1/3 at $28 for a double-digit winner
• Let the rest ride with a trailing stop at $22

Where to Place Stop Loss for JKS?

$21.50 is your line in the sand—below that and today’s breakout fails. Once JKS proves it can hold $22 as support, trail your stop higher to lock in gains. Solar can reverse fast, so don’t get greedy.

Key Levels to Watch

• Support: $22.75 (Intraday consolidation), $22.00 (Breakout level), $21.50 (Today’s low)
• Resistance: $24.00 (Psychological), $25.50 (March high), $28.00 (Yearly pivot)
• Stop Loss: $21.50 (Below support cluster)

Sector Dynamics

The entire solar complex ripped today—this wasn’t just a JKS story:

• Sunrun (RUN): +7.2% on residential solar optimism
• Enphase (ENPH): +6.8% as inverter demand expected to surge
• First Solar (FSLR): +5.5% despite domestic content advantages

JKS outperforming the group signals relative strength. When the leader leads, follow it.

JKS vs Solar Peers Stock Comparison

JKS offers the best risk/reward here. Unlike First Solar’s premium valuation, JKS trades at attractive multiples. Plus, as a panel manufacturer rather than developer, JKS benefits regardless of which companies win projects. More installations = more panel demand.

The Bottom Line

JKS delivered exactly what breakout traders dream about—a high-volume thrust through resistance on legitimate catalyst. The Senate bill removes a massive overhang for solar developers, and JKS sits perfectly positioned to benefit from extended installation timelines and sustained demand.

Yes, solar stocks are notorious for volatility. But when policy, technicals, and momentum align like this, you take the trade. Just remember to manage risk—these names can give back gains as fast as they make them. Any pullback to $22 that holds should be bought aggressively.

What to Watch Tomorrow

• Must hold above $22 to confirm breakout validity
• Watch for additional solar stocks joining the party
• Monitor volume—needs to stay above 1M shares for continuation
• Senate bill details could drive another leg if more benefits emerge
• Key test at $24—clear that and momentum accelerates